About this Show

Charlie Rose

News/Business. (2012) New. (CC) (Stereo)

NETWORK
PBS

DURATION
01:00:00

RATING

SCANNED IN
San Francisco, CA, USA

SOURCE
Comcast

TUNER
Channel 71 (507 MHz)

VIDEO CODEC
mpeg2video

AUDIO CODEC
ac3

PIXEL WIDTH
528

PIXEL HEIGHT
480

TOPIC FREQUENCY

Us 11, Africa 6, Coca-cola 6, Haiti 4, Charlie 3, Bono 3, Matt Damon 3, Latin America 3, New York 3, Soderberg 3, Gary White 2, Kamen 2, U.n. 2, Bill Clinton 2, Stephen 2, Bloomberg 2, China 2, Tanzania 2, Microfinance 1, Malin 1,
Borrow a DVD
of this show
  PBS    Charlie Rose    News/Business.   
   (2012) New. (CC) (Stereo)  

    September 27, 2012
    11:00 - 12:00am PDT  

11:00pm
together, civil society, i.e., ngos, ie, education, et cetera, bring them together with business, bring them together with government, both at the national or and at the sub national level and really collaborate intensely to come to a solution. >> rose: we continue this evening with matt damon and gary white, theyre cofounders of water.org. >> and i heard these statistics that were jaw dropping about a child dying every 20 seconds because of lack of access to clean water and sanitation, that is, that to me is just staggering, because -- because to relate to that as an american, i mean, we don't know people who are thirsty, it just doesn't happen, right? you know, with away don't know kid who die from diarrhea. >> rose: water is ubiquitous. >> yes, of course, or cholera for that matter, just clean
11:01pm
water. so, you know, so that was one side of it, just the mindless death and bono talks about stupid death, you know, because it is preventable. >> we have known how to make water safe for more than 100 years, right? imagine we discovered the cure for aids today, and 100 years from now 3.5 million people are still dying because of that, because we can't push out the solution and that is really what is happening with water. >> rose: the significance of water, when we continue. funding for charlie rose was provided by the following.
11:02pm
>> and by bloomberg, a provider of multimedia news and information services worldwide. captioning sponsored by rose communications from our studios in new york city, this is charlie rose. >> rose: coca-cola is one of the most successful brands in the world, their products can be found worldwide, the company is
11:03pm
also committed to fixing some of the more pressing global problems. since 2008, muhtar kent has been coca-cola's chairman and ceo, he is in new york for the clinton gloal initiative where he is unveed twof coke's new development programs. a company is panered with a global fund to fight aids, tuberculosis and malaria to called project last mile, use coke's worldwide distribution system, its trucks, to provide better access to medicines in africa, coke also announce add partnership with venture dean kamen, developed a water pure physician system that coke will use to address the global water crisis. joining me is muhtar kent of coca-cola, gabriel jaramillo director of the global fund and dean kamen, founder and president of da resech and development corporation, i am pleased to have them here, full disclosure, coca-cola has been a supporter of this program for many years and i begin with muhtar kent. >> tell me how you view this sort of, in terms of what coca-cola does or what you see
11:04pm
beyond coca-cola as the possibilities of private public collaboration. >> or private ngo collaboration. >> yes. charlie, first, i am really pleased to be with both gabriel and dean here today, two great leaders in their own right and very proud to partner with them on solving societal, buying societal issues around the world. and i think, first, one general comment, buying, large societal challenges, opportunities in the world today can, in my opinion only be solved by what i call the golden triangle at work, the golden triangle at work meaning government business and civil society collaborating, working together to provide solutions. >> rose: meaning -- >> sustainable solutions. >> rose: in other words, it
11:05pm
takes the three of them, not any of the individual, either civic society or corporate society or government alone can solve the problem? >> that's right. that's right. they can attempt to solve the problem, they can spend fund, time, effort, energy, but at the end of the day, the problem that, the challenge can only really be sustainably solved if you bring these three entities together, civil society, i.e., ngos, i.e., education, et cetera, bring them together with business, bring them together with government, both at the national or and at the sub national level and really collaborate intensely to come to a solution. >> rose: tell me about the global fund. >> well the global fund is sort of, we are sort of the experts there, we are the bankers of the fight against polemics and in our business we say 1,000 months
11:06pm
a live, lives so percentage is important to us because ten percent we save 10,000 more lives. >> rose: it is about malaria, hiv. >> and tuberculosis. >> rose: what is project last mile? >> the project last mile is precisely about efficiency so we have gotten very good and reducing the price of the medicine, it used to cost $10,000 a year to treat an hiv patient it is down to $125. so that is progress very well. getting to the countries and then getting to the last mile where the patients are out there. that is the buying challenge now. and that is why this project is so important. >> rose: and how did this project begin? >> this project began by a very simple question, way can't we get this medicine out there and coca-cola can be everywhere? >> rose: so make the delivery more efficient?
11:07pm
>> absolutely. >> rose: how do you do that? >> well, coca-cola, i will give you one of the widest and most effective logistics and distribution systems in the world, not only in the area of fast-moving consumer goods but if you take everything, and so we -- the whole supply chain, we work tirelessly every day to make it better, to make it more efficient, to ensure that we can actually satisfy every week 20 million points of sale, retailers around the world that we call on with our fleet of delivery vehicles, so we do get to the last mile, we do get to different smaller villages through, again, with partnerships in our system. >> rose: local partnerships. >> local partnerships in our system. so a couple of years ago, both the global fund and the bill and
11:08pm
melinda gates came to us and said can we -- >> rose: use your trucks. >> and coke co, can coca-cola help us in a certain country? that was tanzania, and truly enough, all of the vital medicine was getting there at very low costs at gabriel said, much lower than before, but it wasn't getting to the right people's hands, it wasn't getting to the patients quickly enough. effectively enough, efficiently enough to say those lives. so we went to that, we set up a collaboration, corporation with the global fund, with the government of tanzania so the golden triangle to work, and we were able to provide training, provide our expertise in supply chain, rather than give money, rather than put the medication on our trucks, and what happened was the medical storage department of the ministry of
11:09pm
health really improved their logistics to a level where prior to this project happening, there was only 500 points of distribution for these vital medicines and today now there are 5,000. the lead time for delivery was 30 days, now it is five days. huge improvement. drugs, the medicine, medication were basically at 50 percent of the time getting to the right patients. now that has gone up to 80 plus percent. so a huge improvement. 30 percent improvement in that area. and i am happy to report we are both excited that by the end of this year, beginning of next year we will be covering 75 percent of the whole country. >> rose: it sound like it has unlimited potential. >> believe so. we believe that a company who has expertise in a certain area can form a public private
11:10pm
partnership and form the golden trying toll help save lives. >> rose: so tell me what slingshot is. >> slingshot is a small device that can take any form of contaminated water, saltwater out of the ocean, water out of a latrine full of bioburden and water from a chemical waste site, doesn't matter what is wrong with the water, it doesn't need osmosis membranes, if it is the ocean, the sun takes water out of the ocean and puts it in the clouds and it is pure it doesn't need activated charcoal in it like arsenic like in bangladesh and doesn't need chlorine if it has bioburden, it comes up to the clouds and leaves everything behind and comes down as pure, distilled rainwater. >> we made a box recognizing around the world they don't have access to the chlorine tablets r the activated charcoal or the osmosis systems, we said let's make a box small enough that a few people can carry it into any
11:11pm
village anywhere or put it on a truck or car but buying enough a single machine could give life on a sustained basis to 100 people per machine, 1,000 athleters of pure water every day this little machine runs with no filters or membranes or chemicals and just get them out in the world where they need to be. >> rose: water is a huge issue .. and getting worse? >> it is a huge challenge, it is the essence of life in the world, and today, charlie, one out of six people in the wld lack access to clean drinking water, imagine that. 7 billion people, one out of six lack access to clean drinking water today. by 20-20 five, two-thirds roughly of the world will have some issue in terms of accessing clean water. once we make a machine we don't have sales, marketing distribution, we try to find the biggest company in whatever field we any we can raise the bar on the technology or improve
11:12pm
lives and we partner with them and go back to do what we do well, after we make made this litt machine we realized even though water is the number one health issue on the planet, 50 percent of all chronic human disease would go away if you gave people clean water and realized all of our partners the healthcare industry don't come close, all combined don't come close to the global reach. i don't think of coca-cola as the world's largest beverage company which of course they are, i think of them as this incredible global efficient, effective distribution network that can get everywhere, every remote village, everywhere, and we -- >> rose: it has a brand identity so people know. >> will trust them. so we went to the coca-cola company and said we have a piece of technology, we want to take it out of the framework of being a science fair project and give it to the opportunity to take on the goliath problem of the 21st century, bad water, we call the project slingshot because slingshot was the little piece
11:13pm
of technology that was given to david and as the kid i remember the story of david and goliath and the moral to me was you use technology properly, slingshot and you will take out goliath. >> rose: so what do we have here? i want to show it in just a moment. >> so in this little accurate scale model of a shipping container which could be put into a village, is -- >> rose: shipping container. there is an actual model of a standard shipping container, this is eight feet by ten feet by 20 feet, here is the actual scale model next to a person of the slingshot. >> rose: right. >> it makes 1,000-liters of water a day and even if you closeup at night and hopefully the women that will run this downtown, it will sit inside here all night filling up thousand liter reservoirs that are accessible outside so all day and all night people can get clean water, be but basically the this is the downtown, if you already have a clinic or if you have a hospital or some place or a school, there is the slingshot
11:14pm
machine, in scale with a person, and it will produce 1,000-liters of pure water a day we have delivered already 15 prototype machines which the coca-cola company supervised trials in ghana, inbetween november of last year and march, four months we produced 140,000-liters of pure water in five schools. it was very, very passionate people there when you saw what happened with the teachers and the kid and the coca-cola people that were making this work. they sent us video, we showed that to muhtar kent and his board and the next thing, thanks to his visionary perspective we got the commitment from coca-cola to scale up to start tooling these things for higher volume and by early next year we are going to go to the next level of production, and the next level oftrials. ros what difference do you think this can make? >> i think it can make a huge difference and i think why it is
11:15pm
important is this is actually more than just giving people access to clean drinking water. think of this as an echo system for life. so as dean said, it is a 20-foot container or it can be a ten-foot container, these containers are lying in mountains around the world, and there is an excess capacity and it will as dean said, be a unit, imagine a village where people are carrying water tens of from tens of kilometers away because they don't have any, and imagine the water that comes that way is contaminated stomach that village, no power, no electricity, and here you come and put one of these units in that village, solar powered or powered by biomass, and it produces 1,000-liters of fresh drinking water, quality water, distilled water, vapor,
11:16pm
compressed, distilled water per day, 300,000-liters per year, and you put actually then a woman entrepreneur in charge of this unit, there is a little tv where people can come and watch the news and people can -- they are connected wirelessly and they can come and charge their phones and they can get training on -- with their mobile cellphones today, one of the main reasons why people don't use mobile phones in these places that don't have electricity is not because they don't have the connection but because they n't charget. >> rose: right. this will primarily be in underdeveloped countries or beyond that? >> i think it will be in areas where there is a need to provide clean drinking water. so -- and that is predominantly an issue in africa today, in parts of asia, indian sub continent and latin america, so as of next year, deka and us and this partnership, we will start
11:17pm
tto pilot three countries, mexico, paraguay and south africa and roll it out in much bigger numbers in 2014 and beyond, and when we say roll out, we mean place thousands of unit, so take let's say a year like 2014, where we may place 2000 units, that will essentially create, provide about 500, 600 million-liters of fresh drinking water to communities around the world that didn't have it before, so imagine every year, you are actually providing billions of liters of new water. >> all right. u have a demonstration, i want to see this. >> there you go. ♪ >> this is what? >> this is the container with the solar roof, so it is powered by solar energy and you have got the center of the community in that village, and you have got
11:18pm
consumers and villagers coming, getting the water,. >> rose: access to media. >> it has got, as you see a dish on the top so it is connected, it has got a little tv screen where people can come and watch the news where they never had the chance to watch news, and then operated by a woman entrepreneur, which essentially connects into another major initiative we have called five by 20, and i will talk to you about that too. >> rose: this is the exact model here. and how many of these will you have in place by the end of 2013, do you think. >> by 2013 it is essentially a pied lot so pilot three countries but by 2014, end of 2014 we will have thousand in place. >> rose: what is different about this? to solve the riddle of water pure physician? what have you done nobody has done
11:19pm
before? >> i think we recognized that you need a very sophisticated technology, not a complicated one but a very sophisticated one, even when you are going into, frankly, the very unsophisticated parts of the world. people used to think they have got to have something as simple as a color reintablet or a simple filter, the trouble is where do you get a supply chain for those things? how do you know how to do the sophisticated testing of your water each day to know which one will work and how much to use? the example i give you is in the developing world they never after 100 years now of land lines never were able to put in the infrastructure for a simple technology of communication land lines but 400 million cellphones in africa, a sophisticated technology but simple to use from the bottom up. we said we have got to make a machine that is so simple that the entire instructions manual for running a municipal water system is take our little machine, it has two hoses on it one of em you stick in anything that looks wet, a latrine, a chemical waste site, the ocean and out of the other
11:20pm
one comes the world's purest waters, end of story and we have done it. >> one question comes up again and you understand it has been a huge media ceo and chairman of sovereign bank, correct? >> correct. >> rose: you have seen more people with your kind of training going into a public health and global health as well as foundations and ngos. what is it you are trying to do in terms of measurement, in terms of metrics? >> well, the idea is that this is going to be a private sector practices and one of them is -- >> rose: the private sector has a way of measuring performance. >> absolutely. >> rose: and they want to see performance where they have invested or collaborated with ngos or government. >> so the information of what they do, they install so many units or we have provided so many people with this medicine or that, and what we do is go to the resource, how many people
11:21pm
have been saved, how many cases have been reduced. with this. so it is the outcome we measure. not the inputs and that is the buying difference. it sounds very subtle but it is not so what we do now is make a link between the investment which is great and the return on that investment, is less cases, morbidity and less mortality and that's the dividend of our investment and when you make that link, the donors get excited and the necessary money comes in. >> rose: you mentioned water and you mentioned five times 20, what is that? >> five by 20 is another global commitment that we made two years ago saying that we, the coca-cola system around the world is going to create economic empowerment for 5 million women outside of the four walls of the coca-cola system by 20-20, and economic empowerment in the form of providing training, mentoring, microcredit, and bringing them
11:22pm
into the world as entrepreneurs, as business people, helping their families, working, employing others, helping their communities, helping educate their children, et cetera, and that is something that again we are very proud of and although the number is pretty buying, 5 million, aggressive, am bush, we believe that with our partners, again, a great public private partnership, u.n. women, is a partner of ours in this initiative, and many others, and we will achieve that number of 5 million, and here is another great example, where thiss connected once again, not just to our water neutrality, not just to us are, our belief of stronger sustainable community, but also to that initiative of 5 by 20. >> rose: when you go into a country whether it is africa or asia or latin america, wherever it might be, what is the breakdown in terms of hiring, in
11:23pm
terms of local versus outside, in terms of men versus women? meaning the comparisons. >> in terms of local versus outside? >> rose: what is the goal? >> well in terms of local versus outside it is almost all local. >> rose: right. >> so we are a local business that hires locally, that produces locally, distributes locally, sells locally and pays taxes locally. >> rose: all right. the developing markets have become huge for you, even more so than north america or not? >> well, let me just put it into perspective. the three and a half to four percent of the population of the world live in the united states. and we are a consumer goods company, so we sell to where people are and, therefore, when you expect that there is or than 95 percent of the population of the world live outside of the united states you would spec we would have a large business outside of the united states. >> rose: is it primarily coca-cola or is it not the company but the drink or is it
11:24pm
all kind of water products that seem mohr in demand than ever? >> i think we talk, we just -- >> rose: what makes the people outside of the united states -- >> we look at ourselves as the number one and premiere beverage company in the world and we have -- we offer 3,000 products, 500 more than, 500 brands and choice i think is the key. >> rose: but how is that change something it has to be changing, is the produc mix change something aren't you finding the demand for things you weren't making five years ago? >> yes, and that's why i think choice is great. you have to offer consumers choice. see, what we have -- the way the world has changed is that for the first time in the history of our planet there are these million, 3 billion people, 3 billion people that are communicating with each other every day, that are talking to each other, that are exchanging things with each other and that are trading with each other and
11:25pm
then socializing with each other. the world has never seen that happen, and that is why, you know, when you launch a product in one part of the world, that product gets traction in many parts of the world and demand is created. we launched a certain screws with pulp in it in china called minute made pulpy within two and a half, three years and became a billion-dollar brand and now sold in more than 25 countries around the word. >> rose: and how do you explain that? >> you explain that by looking at the chinese consumer and developing products in addition to your mainstream brands by coca-cola and sprite which are popular in china, you offer choice and that choice then gets traction or doesn't get traction, in our case we are very fortunate that it got a lot of traction and now it has become a multiple billion-dollar brand, very successful in many parts of asia, many parts of africa, many parts of eurasia and latin america. >> rose: and you just bought a company in, a company in saudi
11:26pm
arabia >> yes, we bought a juice company, premiere juice company in the gulf. >> rose: so somebody is doing something very well, coca-cola may be in the acquisition game? >> we always say, the premiere metric for our successful is organic growth, but if there are bolt on acquisition opportunities, charlie, we will look at them. >> rose: you say easier it is to do business in other countries than in the united states. >> well, all i would say is that i think we are finding that more and more there is much more understanding every day towards the need for this golden triangle to work, here as well as overseas. >> rose: good place to leave it, thank you. >> thank you. >> rose: thank you, dean. >> good to see you. back in a moment. stay with us. >> rose: the global water crisis affects millions of people around the world if not billions, former president bill clinton called it one of the most pressing and universal
11:27pm
challenges of our time. according to the world health organization approximately 780 million people lack access to clea water. that is about one out of every nine people on the planet. in 2009, matt damon and gary white founded water.org their organization provides access to save water and sanitation for hundred of community in africa, south asia and central america. they believe that with the right solutions, the water crisis in our lifetime can be solved, here is a look at what they have been doing. ♪ >> i have been to haiti before, but this trip maye the most important one so far. gary white and i announced our commitment at the clinton global anybody identify to reach 50,000 people in haiti with safe water and access to toilets. then, haiti was hit with the worst earthquake in 200 years. it was devastating.
11:28pm
our commitment became more vital than ever. you think these kids are the dying of are things our kids will never die of because we have access to clean water and when you come closes the deeply affecting and to make sure our work has lastingimpact we are approaching it differently than many other organizations. the community it is a critical point and just starting to organizing kind of like the improvise the solution but the water is better but you can still see this la like kids get sick, this is cleaning, drinking, this is everything. >> i have had access to clean water my entire life, i have never been thirsty. i turn around and guy to the sink and, you know, have a glass of water. >> and it is hard to walk away from that when you know the severity of this problem. >> with the availability of safe water, life's most basic need, a community celebrates. >> we are in northern haiti if a very small town cause bay and we are here for a water inauguration and going to open the wellhead. >> top gate, put the key of the
11:29pm
ceremony and we are going in and going to pump the first bit of water out of the well. >> when you see somebody who hasn't had access to clean water suddenly get it, it is really like this lazarus effect of their spirit where you see they are smiling and hopeful and joyful and planning for a future. >> it goes beyond safe water. what this is really about is giving children help, giving communities a future. >> in haiti, we are making a lasting impact. one community at a time. we have to get it right. good intentions are not enough. solving the world water crisis is the best investment you make to improve human dignity. >> rose: i am pleased to have matt damon and gary whitey table, welcome, good to see you again, 1984, guatemala, take me there. >> so i am an undergrad studying engineering and i took this mission trip, you know, to volunteer on a construction
11:30pm
project, and i took a side trip to guatemala city, you know, i am grew up in the midwest and hadn't really experienced the world and to be thrust into the slums where there were kids, you know, wading through this raw sewage, walking to collect water from these contaminated barrels you wouldn't let your pet be drinking the water from, and, you know, afterwards i got on a plane and back in the u.s., two hour flight and it is just, that just reay stck me, it is like this just shouldn't be. how can we figure out how to solve this? so i immersed myself in it and tried to figure out what is happening, how do we do better and discovered at that time about 1.2 billion people didn't have access to water. and, you know, a couple of billion, two and a half billion didn't have access to sanitation, so it was just initially this is a visceral action this can't stand and i want to do something about this and just started learning. >> rose: and what did you decide to do? >> so i learned all i could about the crisis, and en came
11:31pm
into the field, i work for catholic relief services in new york back in the eighties and focused on water and sanitation and discovered a lot of things. there are not just the projects we were doing but others but a pretty high failure rate a lot of projects weren't working and not a lot of scalable solutions that we had going for us. and so during that phase it was just kind of learning, and then, you know, creating the nonprofit water partners in 1990 that would say, okay, why do projects fail? let's take an analytical look at this and how canwe ale? and starting to discover market forces and how those over laid on to this, because what we saw was it was kind of a one size fits all approach that everyone is equally poor, and therefore we have to solve this with charity, with philanthropy and, you know, we just knew better and i was, you know, travelling in the slums of banc lamar and met this woman there who took out a loan for
11:32pm
125 percent interest so she could build a toilet at her home and other people were taking out loans from loan sharks to get water connections because they couldn't afford the connection fee to the utility, and so we knew that while this is a huge problem, and it was instantly solvable you didn't have to wait for the miracle cure but the path to the solution, the trajectory couldn't pass just through straight charity so how do we nudge these forces like the markets toward the poor so they have a more level playing field so they can get an affordable loan? so that they can get that water connection? which is what we have done through water credit, now we have reached nearly 400,000 people with access to water and sanitation because they they got access to a loan. >rose: we will talk about that. 2006, you were in africa with bono's organization? >> yeah, yeah. kind of on, they call it i think a listening and learning trip, and it is great, i mean it was a week or so of just -- it was almost like a college mini course where you just each day had a different learning focus and go is microfinance and urban
11:33pm
aids and rural aids and et cetera and you would have kind of a different kind of focus each day and one of the days was water and my first -- i mean i ard these statisti that were jaw dropping about, you know, a child dying every 20 seconds because of lack of access to clean water and sanitation, that to me just was staggering, i mean, because -- because for me, to relate to tha to that as an american, i mean we don't know people who are thirsty, it just doesn't happen, right? and, you know, we don't know kids who die from diarrhea,. >> rose: water is ubiquitous. >> yes, of course, or cholera for that matter, just clean water, so, you know, that was one side of it. just the mindless death, and bono always talks about stupid death because it is, it is preventable. but i went on this water
11:34pm
collection with this girl and she was about 14 years old, she just come home from school and waiting for her and they arranged for me to go on this water collection so we got our jerry cans and we headed to the bore well about a mile away. and, you know, i talked to her as we went, we had an interpreter and so, you know, do you like school? yeah i love school, well, are you going to stay re wen you are older? and do you want to stay in this village, do you like it here? it was very rural village in zambia and said, no, no and she kind of got shy and i said, what? come on you can tell me and she said, no, i want, my dream is to go to the buying city, i want to go to usaka and be a nurse and there was something about this interaction i had with the kid i just remember being 14 and ben affleck and i said we are going to the buying city and new york and to be actors and i related to a teenager, i remembered that feeling and how great that feeling is when y have got this rld of possible possibility opened up in front of you when you are that age and
11:35pm
so we did the water collection and had a nice time and everything and i am driving out of this village and i realized that had it not been for someone having the good sense to sink this bore well close enough to her home that, you know, she could get there and back in an hour and a half or so, this kid wouldn't be in school, she would be spending her swear day is a scavenging for water for the family and wouldn't have -- the life she could look forward to is certainly not as being a nurse and helping other people and contributing to the economic engines of her country, she would be destitute and just trying to survive to the next day. >> rose: and what brought the two of you together? >> oh, well, i start -- shortly thereafter, we produced a documentary about these ultra marathoners that were going to run across the sahara desert and they ran across the saha
11:36pm
desert 2024 hours a 40 miles a day and we will be on the ground from senegal to cairo, why don't we use this trip as a chance to identify some ngos on the ground doing really good work, smaller ngos that might get overlooked and try to set up, you know, a foundation that can get money to them, to put in water projects and so we did that and called it h20 africa and that really kind of set me off on this -- the kind of -- the learning process. >> rose: and the vision of water.org is -- >> very different from this. >> rose: how is it -- >> well just model is different. you know, drilling wells is -- there is always going to be a
11:37pm
segment of the population that needs just a straight subsidy, and if you are extremely poor, some are sure striving on less than $1 a day but what gary's years of experience have taught him this idea he was just getting into before is this idea of market segmentation where people are not equally poor and he knew these people are paying these loan sharks and taking out these loans they are paying for water as evidenced by the fact they are al hive,. >> right they are getting their water from somewhere, so what if you can just shift just five degrees and start to look at these people differently, not as -- look at them as customers and citizens that have their own intrinsic power and tap into that and so he .. pie meerd this idea of water credit and that was really -- it is -- i think it is an incredible innovation and a benefit, and one that is very impactful one because what it does is it uses the concepts of micro finance, but slightly differently where normally, you
11:38pm
know, microfinance you go to the bank and you show them a business plan and you say, and you take your loan. this is a little different, because what is happening in a lot of these urban areas is people are already working jobs. i would say this is a segment of the population surviving on two to $5 a day, right? they are in an urban slum somewhere in india, let's say the municipality is piping water right under their feet and right under the street but it is going to some water collection point where the entire neighborhood goes and gathers and stands in line and waists their time wait fog the water. waists their time waiting for the water, what this concept does is give them a loan .. to connect to the water source, connect right into their house, 75 bucks, 100 bucks, and they get all ofhat time back that they are taking away from their job, right? and going and waiting and queuing up for water, they basically, their time is bought back and they are
11:39pm
able to pay off these loans extremely quickly and at a rate of 97 percent, and so what it is is, what we love about it, it is completely scalable, and gary basically figured it out, proved the model and now they are sourcing commercial capital and we just step out of the way because they don't nee us to- >> rose: you called it catalytic. >> yeah, and the how do you engaged philanthropy in a new way? how do you look from the venture, catalytic perspective and catalytic means that you can make make it scalable because what you are trying to do is discover those markets failures where they are broken and inject philanthropic capital which helps correct that market, and the gates foundation did some research on intersection of microfinance and water a number of years ago and pegged its a $12 billion market there is a demand for people out there to take loans to secure these water
11:40pm
connections and to build toilets, but the market wasn't responding to that, and so what we do is we help nudge the microfinance institutions into this space because it is not a traditional lending model, you are not loaning for a sewing machine and sewing clothes the next day, you are not milking a you the next day so helping them understand is what matt is talking about, it is this income enhancing opportunity that is there. >> rose: explain that to me. >> the concept is if you take a straight philanthropic approach you are not going to see iminisng costs per person reached with this, it is going to remain constant, but if you can use mart subsidies the cost to reach a person might go up initially but then who help the microfinance institutions discover the market and start sourcing commercial capital to back fill what had to be done with philanthropy and advertise those costs overtime and the costs come down, so one of the great parts of this is the pepsico foundation and we did an initial program with them where we thought it would be about $36 to reach one person, we actually
11:41pm
finished up that grant at $24 per person. they were excited about this, so we moved on to $8 million grant, that grant will allow us to deliver water services at a cost of $10 perer pson, philanthropic costs, the buying, the gap is filled by the commercial capital market. >> rose: there is a photo of a young woman in independent i can't with her water credit loan card. >> yeah when you see people. >> rose: she looks -- >> you see people just lighting up, you know with the fact they have taken out a loan and the pride they have for this, it is not something that was a handout for them and this can be a stepping stone, it is amazing to me, this group of women that were so excited because now they could domestic servants think about that, it is their first job and why were they able to go and get their hand on that bottom rung of the economic ladder with a job is because they freed up this time that they were spending looking for water and scavenging for water. >> rose: what is the new venture spot? >> well, that is, you know -- it is a fund where we are basically
11:42pm
trying to raise money to -- for people with maybe an appetite for a little more risk but potentially a higher reward to come up with the next wate credit. you know, what is the next buying idea? we know there is never going to be a one size fits all solution but water red is a huge idea, with the potential to reach, well, by some estimates 100 million people by 20-20, 2020, but we know there is another idea out there, you know,, with he no, there is another solution out there, w we have been having ths conversation about -- about how to think about these things and how to -- >> rose: exactly. >> a this whole idea of the liquid net worth, and -- there is a book that gary read about how great ideas happen, basically. >> rose: how they come about. >> and it is all about putting people together in a situation where these ideas kind of bounce off each other. >> rose: one of the ideas that i believe in in terms of, i don't really pay much attention
11:43pm
to process, but it is where people bring people from a whole different life experience and discipline and whether an anthropologist on the one hand and accountant on the other hand and somebody with an mba and somebody who is in politics and just say, all right, you are not going to get out of this room until we squeezed everything we can pout of bouncing the ball around the table. >> that's exactly it, that's exactly it and this whole concept of the new venture fund is to empower that, right? so it is not a financial return in this fund, it is a philanthropic capital fund that allows people, predominantly high net worth individual who have this risk tolerance to have buying social impact to put money into the fund and give us the latitude we need to find that next breakthrough idea and be ready to green light it instead of waiting to 20 months for that foundation support to respond to your request for this new idea, we can green light it right away. and it is a power, what i call
11:44pm
or. rthoganal how to bend the power toward the boar. >> rose: also to bill clinton and bill gates, bill ghaits terms of global health does a lot of seed money where he puts a lot of iq and a lot of money on a problem, and then partnered later, partners with government because they can scale it up in order to get ral achievement, right? >>yeah, think what -- >> rose: but the seed money is important to get going. >> yes. and committing to market i think with the pharmaceutical history, that advanced market commitment concept of saying yes this is a disease affected poor people who can't buy the pills, right? so we are going to guarantee that we will buy 100 million pills from you. we are taking lessons get, we are taking lessons from that to say what if the utility knew that those customers who are considered noncustomers who were too poor are written off as too poor what if we help back them and say we guarantee you 90 percent of that slum will sign up and start paying a water bill if you put the pipes in
11:45pm
there? and that kind of commitment might then release them and inspire them to get into that, seeing their own citizens as customers instead of those who break into the pipe and steal water so how do you take the the sources like that in microfinance and bend it toward the poor so they have this more level playing field. >> rose: how do you get it done in we know how to get it done. what is that? >> i think you get it done by giving out, getting out of the one size fits all approach and you look at markets, you look at the natural forces that are out there, the poor do want too find their own solutions and to come along with this and i think that you do it by rolling entrepreneurial solutions, incredible social entrepreneurs who think differently about how you solve these buying issues of global poverty, and so it requires that mind shift, that, you know, we don't just need to do the arithmetic and say okay it costs $25 to get a person
11:46pm
water and you multiply it by 00 million and that's what we need. that is whenever going to do it. >> rose: you also wonder whether technology can make a difference here. >> yes. >> it does and it will. >> rose:. >> and turn loose, technology make finance wes don't have, that's why i am saying we knew the solution but may very well be, you know, that people can apply their iq, you know, to issues beyond simply developing a new tech following but how to use that technology having to do with energy, having to do with education and certainly having to do with this kind of problem. >> yeah, well there was the thing, the study, u.n. study in 2010 said the mobile phone was more responsible than anything for lifting people out of poverty, it is an incredible tool for people and that will keep -- that is going to keep petting better for everybody, technology exploding the way it is is a very good thing for the world's poor. >> rose: so where does water.org go from here? >> so where we go is putting --
11:47pm
pushing out the innovation, right, we see it in thre three-e there is is the core of water credit, and getting it out geographically that is 70 percent of we do, and how do we engage utilities more to this and bridge to financial institutions and they knock on our door all the time because they know water is going to be a buying deal and figure out how do you serve this market? so -- >> rose: you and i talk about politics. >> yeah. >> rose: i can get in trouble. >> this is a totally bipartisan -- >> rose: that's a good point. way don't we have a presidential campaign i have a better plan for dealing with the water crisis than you do? >> it is a real opportunity for the next president, i think, to really engage people in a way that, you know, i there is an article about clinton today in the time magazine talks about that virtuous circle and reinforcing circle of you start to change the way people are thinking about the world they are living in and just going to be this self reinforcing thing
11:48pm
that, you know, positive change will come, life will improve for people. >> rose: do you still have time for act something. >> i do. i did two movies this year. >> rose: did you? what did you do? >> i wrote a movie with john kuzinskyrom the oice, the promid land. >> rose: what is that? >> i am very proud of it the, gus van zandt directed it a salesman that goes to upstate new york and it is really just a movie about this little town and how the town changes him and how he is kind of changed by the town and he is selling and up there selling natural gas and in this kind of depressed rural community and just basically about kind of what happens. and it is about people. >> rose: and you wrote it? >> yeah. >> with john. with john crznyskk. >> and did a movie with soderberg. >> and you, a movie about
11:49pm
liberace. >> we just finished filming two weeks ago. >> rose: does it feel good. i think it is going to be terrific, it is going to come out next may, but all of the signs -- i have done enough of these things i know when -- >> rose: can you really tell? i mean -- >> you know when you are in good shape, definitely. >> rose: definitely. we don't know if they will edit it right but you know -- >> soderberg edits his own movie he is director, sinningo grapher, cinemaing to grapher. >> sinning to grapher. >> he doesn't do it anymore but did in the first two films .. people do do it, i have never seen anybody do all four things, that stephen does, that is just -- >> rose: produce, write, direct -- >> well, and he operates the camera as well, sin tography and editing .. as a result his result is efficient he is the editor so cutting in the camera, the way spielberg does and these guys cando sequences, you know, i mean i remember doing saving
11:50pm
private ryan and sitting in a bank of video monitors and stephen going, you know, okay on this shot, this shot, now this shot, and he is cutting ten cameras as we are in real-time. >> rose: what an educational experience it would be to sit with stephen spielberg as he made a movie. >> it is fun and equally fun sitting with soderberg, no, there is a certain type of mind that can do it at that level. >> rose: and they can see the process in their mind's eye? >> yeah. >> rose: as it is developing. >> yes. and there is a an inevidentbiliy about it that the shots never feel forced you don't realize that the camera hasn't cut until later when you go, wait a minute, i thought that -- yeah, that was all one shot, but they have just staged it brilliant i and they they execute it perfectly. >> rose: and michael as well? >> michael is great. i mean, he is phenom malin the picture, and his health is terrific, i mean, i was trying
11:51pm
to keep up with him, you know. i felt old. >> rose: did he tke you to the golf course? >> no, thank god. i felt i have four little kids at home so that makes me feel old too. >> rose: and the bourne identity? >> the bourne legacy because i just finished and got home and got the kids back to school i haven't had a chance to see it yet, that one but -- >> rose: but you would do another? >> if we could figure out the script. i have been saying it for five years, really, because i love the character, i really love doing him and i love the whole team of people that work on it and it is great to be able to go back and workith the se people. that doesn't happen. >> rose: and what happened here, i saw it, first of all and he was very good. >> he is always good. >> rose: exactly. he is great. he is a great actor but it seems like whoever is responsible for this, found a way to connect it to bourne without being bourne. >> right. >> rose: which was a gene grus stroke. >> that was their task to keep one alive and try to birth a new
11:52pm
one, it is pretty heavy lifting, but i think, you know, they were under time pressure to get a movie out and they had a deal with the estate so, you know, when i walked away -- >> rose: the ludlum estate? >> yeah. i think there was some agreed upon date that a bourne movie would be in the theaters which presumably was five years after the last one, because that's when this one came out. so i mean, my sum hundred is that they, you know, once we couldn't figure it out creatively they just came up with this whole new way to do it and obviously, look, any studio is always trying to franchise their product, you know, and the bourne story is not james bond, it is not an ever green, i mean, it depends on you have to see the movie in orders. >> rose: did you see that when you first read the script? >> oh, yeah. i never said this is going to be -- i am going to do this for the rest of my life. >> rose: no, but you saw this
11:53pm
and says said this is an interesting character. >> it was doug lymon, the director of the first one, we sat down for breakfast and he said, i don't relate to james bond. he said and i think there is a whole bunch of people our age whoon't really to james bond and i am telling you, there is a vacuum out there that i think this character, if we do it right can fill, and he was absolutely right. that kind of fundamental understanding, and he was right. and but nobody expected it to, you know, go on and it was -- and it was a three book series. he didn't write a fourth book, you know. so we will see if we can ever figure it out, there are a lot of smart people who watch your show, if any of them are writers, please, send your ideas, because we would all like to go do it. >> rose: and i would like to see it. good to see you. >> great to see you. >> rose: thank you.
11:54pm
thank you. thank you for joining us. see you next time. captioning sponsored by rose communications captioned by media access group at wgbh access.wgbh.org
11:55pm
funding for charlie rose has been provided by the coca-cola company, supporting this program since 2002. and american express. additional funding provided by these funders.
11:56pm
and by bloomberg, a provider of multimedia news and information services worldwide.
11:57pm
are you totally unprepared? just about all of us have something hangen on our walls, pictures, paintings, art work clocks, all can come crashing down and create broken glass. inexpensive picture hook can secure pictures to the wall and help keep you and your family safe. for more information on earthquake preparedness,
11:58pm
11:59pm

Terms of Use (31 Dec 2014)